CCT's net property income up 34.3%

Thanks to the completed acquisition of CapitaGreen.

CapitaLand Commercial Trust managed to perform well in the past quarter, with net property income up 34.3% to $69.9m.

This came with the 33.9% growth in gross revenue to $89.5m and a 9.9% higher distributable income of $71.3m.

The group said the positive results are due to higher year-on-year occupancy, in revenue terms, for CapitaGreen and Capital Tower, as well as the consolidation of CapitaGreen’s revenue and NPI to CCT Group in 1Q17.

CEO of CCT Management Lynette Leong said the timely acquisition of the remaining 60% interest in CapitaGreen, our award-winning, premium Grade A office building in the heart of Singapore’s financial district, has significantly contributed to CCT’s robust performance this quarter.

"It was a notable 9.6% increase in CCT’s distribution per unit year-on-year. Notwithstanding challenging macroeconomic and office market conditions, CCT’s committed occupancy rate of 97.8% as at end March 2017 remains high and well above the market occupancy rate of 95.6%. About 80% of the Trust’s borrowings are pegged at fixed rates, which offer greater certainty of interest expense in a rising interest rate environment,” she said.